House Begins Passing Series of Deficit-Hiking Tax Cuts
WASHINGTON -- One of the few bipartisan goals that President Barack Obama and Republicans agree on is comprehensive reform of the tax system, but Democrats cried foul Friday as GOP leaders in the House began passing permanent tax cuts that opponents believe would make that reform harder.
The House voted 272 to 142 to make permanent a number of temporary provisions that are aimed at helping businesses earning up to $2 million. The main cut, which would add $77 billion to deficits over 10 years, allows businesses to immediately write off new equipment purchases up to $500,000. Temporary versions of the measure have been passed about a dozen times before, generally as economic stimulus measures.
Since it's popular and it's been passed so many times before, Republicans argued, the policy should be made permanent.